I want to give you the chance to hear from past Herbalife distributors the reality of the Herbalife scam.  I hope this will keep a few of you from falling victim to this scam.

In the above video Bill Ackman argues that Herbalife is a pyramid scheme because it makes more money by recruiting new distributors than it does selling products to consumers. He says the company deliberately targets Latinos and other vulnerable immigrant groups.

Herbalife disclosed in March that it is being investigated by the Federal Trade Commission. Federal law enforcement officials have confirmed to CNN that the FBI and U.S. Justice Department are also looking into Herbalife, though the company has not commented on any criminal investigation.

In the film, the former distributors describe how they lost tens of thousands of dollars after being led to believe they would be able to earn up to $10,000 a month selling Herbalife products from home.

The former members of Herbalife’s direct sales network all said they were encouraged to bend the truth when presenting the “business opportunity” to potential new members of the system.

“It’s really not about selling Herbalife,” one says. “It’s really about getting people’s money by bringing them into the business.” – Source CNN.com

Herbalife is a scam?

What is a product-based pyramid scheme?